Location: Franklin County, KY | Metro: Lexington-Fayette, KY MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $900 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,290 |
| 3 Bedrooms | $1,750 |
| 4 Bedrooms | $1,930 |
| 5 Bedrooms | $2,239 |
| 6 Bedrooms | $2,508 |
| 7 Bedrooms | $2,709 |
| 8 Bedrooms | $2,844 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,290 | $261,495 | 0.49% | F |
| 3BR | $1,750 | $346,428 | 0.51% | F |
| 4BR | $1,930 | $508,753 | 0.38% | F |
U.S. Census Bureau data (2024)
The ZIP code 40347 in Midway, KY, is primarily a homeowner-dominated area rather than a renter-heavy one. With a population of 3,960, only 22.1% of residents are renters, indicating that the majority of the community owns their homes. This characteristic makes it less likely for there to be a deep demand for housing vouchers under the Section 8 program.
The median household income in this ZIP code stands at $85,270, which is relatively high. The typical market rent of $1,071 represents approximately 1.3% of the median household income when considering annual income. However, comparing the monthly rent to the Fair Market Rent (FMR) of $1,120 for FY 2024, we see that the market rent is slightly below the FMR, suggesting that rents are competitively priced within the region.
A landlord in ZIP 40347 should expect tenants who are likely to have stable employment and financial means, given the high median income level. While the number of Section 8 voucher holders may be limited due to the low percentage of renters, those who do hold vouchers will still find the rental market accessible, as the average rent is lower than the FMR. This scenario implies that landlords might need to consider the balance between accepting vouchers and potentially attracting tenants with higher incomes who can pay market rates without assistance.
To summarize, ZIP 40347 is not heavily reliant on Section 8 vouchers, and landlords should anticipate a tenant pool that predominantly consists of individuals with sufficient income to cover market rents. For those who do receive housing assistance, the local market offers affordable options compared to the FMR benchmark.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.